The housing crisis in London has been well documented in recent years. Experts suggest that 60% of the capital’s population will be renting by 2025, with just 26% of people aged 20-39 being able to afford their own home.
However, the crisis doesn’t seem to be restricted to just London. It’s worrying news for first-time buyers, but a good opportunity for those looking to invest in buy-to-let property for sale. Here are some more details.
The Rise of the Renters – Nationwide?
According to recent figures, the UK’s properties are steadily becoming more unaffordable for the masses – and not just in London and the South-East. The Resolution Foundation’s latest statistics demonstrate that levels of home ownership have dropped by as much as a half in areas traditionally labelled as ‘affordable’, like Greater Manchester and West Yorkshire.
In Greater Manchester, for example, the number of houses owned by young families has fallen by 51% since 1994. It’s not a problem that’s limited to the North, either. For example, in the South-West, the number of home-owners in Bristol has fallen by 43%.
In national terms, this means there are currently around 6.3million families renting their homes, with many “struggling to save for a housing deposit at the same time as paying rent”.
What’s Causing the Problem?
There are a variety of factors at work here. Rising property prices are largely responsible for pricing many out of the market, but other things are also having an impact – increased living costs and lack of available housing, to name just a few.
The rental market is struggling to keep up with demand, which in turn, is also driving rental rates up. This is good news for landlords, who are cashing in on the situation, but not so great for tenants.
Should You Invest in UK Property?
In order to meet tenant demand, it’s imperative that the UK supplies both affordable housing and good quality rented accommodation. Some people actively prefer to rent, due to working arrangements or ease of mobility (for example, students or young professionals), which is why UK property investment in the rental market is a savvy move at present.
When looking for buy-to-let property, it’s a good idea to consider the following:
Working with a property investment agent is also a shrewd move, as they’ll help manage your investments and find the best buy-to-let property for sale, at a good price.
The Buy2Let Shop Limited
If you’re considering property investment in the UK, but you’re not sure where to start, talk to The Buy2Let Shop. We’re a team of qualified property investment agents, with years of experience helping property investors secure the best deals for long-term ROI.
We also offer assistance with buying a house at auction, and our regular free property investment seminars are designed to provide inside knowledge of the property market. For further information, simply visit The Buy2Let Shop website today.